Retailers hear advice for tough times

BY LOUIS LLOVIO
Media General News Service
Published: August 7, 2008

In a sluggish economy, reaching potential customers is doubly important.

Yesterday at an all-day Retail Marketing Expo, business owners listened to marketing experts and a business consultant discuss ways to connect.

Nearby at the Greater Richmond Convention Center, about 60 marketing companies, advertising agencies and media outlets pitched their wares from booths to the several hundred merchants in attendance.

The point of the third annual expo was to help retailers move their businesses forward. The Retail Merchants Association puts on the expo.

For the most part, retailers were urged not to overreact during tough times by cutting advertising budgets.

Consultant George Whalin told retailers that, while it was common to look at advertising and marketing as an expense, business owners need to look at it as an investment.

“It completely escapes me why [you would cut] something that brings customers in,“ he said.

Instead, he advised retailers to spend “every dime you can afford to bring bodies in the door.“

Whalin is the author of “Retail Success!“ and president of California-based Retail Management Consultants.

One business owner in a tough industry said that while advertising is important, how the message is delivered is equally crucial.

Jacques J. Moore Jr., owner of Moore Hummer of Richmond and Moore Cadillac Saab Subaru, said the key is to keep a consistent message while injecting little changes to keep people’s attention.

During an afternoon panel discussion, Moore said his dealership is adding a twist to the commercials it has aired for several years. New ads running until November will ask consumers to “vote for Moore,“ he said.

He also said that businesses should emphasize success in their advertising.

“Don’t be afraid to tell people about your success. The more excited you are about your business even in dark times” the better, he said.

Automaker General Motors Co., which makes Hummers, Cadillacs and Saabs, reported a loss of $15.5 billion in the second quarter on falling sales in North America and has been considering selling the Hummer brand.

Scott Aronson, vice president of marketing and analysis for Ukrop’s Super Markets Inc., said for businesses to be successful in their advertising they need to look at what is happening in the economy from the customers’ perspective.

The grocery chain, for instance, more often features chicken instead of the more expensive tenderloin.

To Whalin’s point of not cutting back on advertising in tough times, Aronson said Ukrop’s increases how much it spends during economic downturns.

“It’s a good time for us to tell what people what we do,“ he said.

Contact Louis Llovio at (804) 649-6348 or .